Karachi: The rupee continued to strengthen against the dollar in both foreign exchange markets on Monday due to various factors.

The rupee continued to strengthen against the dollar in both foreign exchange markets on Monday due to factors such as the possibility of an increase in remittances after the floods, increased trading activities of Pakistani bonds in the international market, reaching a 4-year high, and the forecast that the government’s foreign exchange reserves will reach $15.5 billion by December.

The dollar continued to depreciate throughout the trading session in the interbank market due to expectations that the current account deficit will be between zero and one percent of GDP in the current fiscal year and reports that Pakistan and China have agreed on a multilateral financing of $7 billion. At one point, the dollar fell by 29 paise to Rs. 281.26. However, as supply improved and market forces increased demand, the dollar closed at Rs. 281.52 by the end of trading.

In the open currency market, the dollar also fell by 5 paise to Rs. 282.55.